Center for Market Education CEO Carmelo Ferlito said the government needed to remove all the obstacles on the supply side.
“The (Covid-19) lockdown induced both demand and supply side shocks, (and) when demand picked up earlier this year, the supply side was already struggling to keep pace due to policy uncertainty, labour shortage and high raw material costs,” he told FMT.
Ferlito said the price ceiling imposition had stymied “already frustrated” suppliers in trying to meet the demand for eggs.
He backed a call by the head of a retail giant who wants the government to get rid of the ceiling price for eggs, identifying this as the cause of the current shortage in the market.
Mydin hypermarkets chain managing director Ameer Ali Mydin sounded the alarm on the shortage of eggs in the market, saying urgent action was needed to resolve the issue.
He said he was concerned the country was running out of time to resolve the egg shortage in light of the upcoming Christmas, Chinese New Year and Hari Raya celebrations.
Malaysia Consumers Movement (MCM) deputy president Beninder Johl said the government should impose a complete ban on egg exports, arguing that this would help stabilise supplies.
“We have received complaints of a shortage of eggs in the market but not completely unavailable,” he said.
“Malaysia should learn from India which imposed an export ban during an onion shortage.”
Meanwhile, Federation of Livestock Farmers Associations of Malaysia president Jeffrey Ng said producers have been able to meet the demand adequately.
At worst, he said, any shortfall would only be confined to a few areas.
Ng said many people are known to buy more than they need for the immediate term on rumours of an impending shortage.
He said rising prices of feed have raised production costs but the retail price is capped. As a result, poultry farmers incur losses.
In the longer term, some could be forced out of business, which would leave a big gap in supply anyway.
The ceiling price for eggs is said to be 45 sen for Grade A, 43 sen for Grade B and 41 sen for Grade C in the peninsula.
The ceiling price in Langkawi, Sabah, Sarawak and Labuan varies according to zones and districts.